The greenback is just melting against the rest of the major bloc today
Fresh wave of dollar selling is hitting markets and we’re seeing the greenback fall to session lows against all the rest of the major currencies now. EUR/USD in particular has jumped back up above 1.1400 to a high of 1.1419 on the day.
The pair is now running up against resistance from the 1.1410-20 region and this is a key level for the buyers to break above. It was the region that helped to halt the upside move during 21-23 November so a break above this will open up an extension towards the 20 November high @ 1.1472.
There’s just no reprieve for the dollar today as everything is just going against the greenback. The PBOC kicked things off by strengthening the yuan by the most since June 2017 and that led to slight dollar offers in Asian trading. Then, a further fall in Treasury yields isn’t helping the dollar’s case as yields attractiveness begins to wane as well. Add to the fact that yield curve inversion is adding worries about a recession, it’s a trifecta of reasons to be negative on the dollar today.